Startup DataFox aims to use artificial intelligence, natural language processing, and big data to provide data on 100,000 private technology companies to financial analysts.

Its relatively easy to find information on public companies. Bloomberg, Thomson Reuters, and Dun & Bradstreet, for example, all have in-depth information that is accessible to anyone with a subscription. But where do investment bankers, venture capitalists, and other investors find reliable information about private companies?

If you talk to investment bankers, or other investors who are looking for information on non-public companies, it quickly becomes apparent there is no easy answer. Investment bankers rely mostly on Google searches and a combination of information gathered from Hoovers, S&P Capital IQ, Dun & Bradstreet, and others. But it is a laborious manual process to do due diligence on private companies.

DataFox, a Silicon Valley-based startup, is aiming to streamline the research process on private technology companies by using big data, natural language processing, and artificial intelligence technology. To date, DataFox has data on most private technology companies, according to the company. Today, the company has moved from its public alpha phase to a beta phase, along with three functionality enhancements.

DataFox co-founders Ben Trombley, Mike Dorsey, Bastiaan Janmaat, and Alden Timme.

The enhancements to DataFox include a real-time events feed. According to DataFox, its algorithms can mine millions of pieces of open-ended content (news articles, press releases, company websites, and more) and recognize -- as a human analyst would -- key pieces of company information such as a headcount, financials, personnel changes, funding, M&A, and more. The company's data quality team verifies the accuracy of the data points as well.

Another enhancement is a new taxonomy that does a better job of categorizing over 400,000 companies. According to DataFox, the new taxonomy will make it easier for users to prospect for companies.

Lastly, users will be able to work on lists and data together through a shared list that is available on DataFox.

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Using Artificial Intelligence to Uncover Non-Public Company Data